Labor informality
The Economic Thinking Center of Anif has warned of the negative effects of the 23% minimum wage increase, which will generate an additional fiscal cost of 3.8 trillion pesos for the Government in 2026. Though celebrated by the administration, this measure will raise labor costs and could boost informality and inflation. The entity highlights impacts on public payroll, pensions, and tax revenue.
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Mexico's informal economy reached its highest contribution to GDP in 2024, accounting for 25.4% of the total, according to preliminary INEGI data. This marks a 3.2 percentage point increase since 2020, underscoring the persistence of labor informality affecting 54.4% of the employed population.